ABC Corporation had the following balance sheet on December 31, 20XX: Current Assets Cash Accounts receivable...

  

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ABC Corporation had the following balance sheet on December 31, 20XX: Current Assets Cash Accounts receivable Inventory Prepaid expenses Capital Assets Plant and equipment (gross) Less: Accumulated amortization Net plant and equipment Total assets Balance Sheet $15,800 22,100 26,400 20,100 Liabilities Accounts payable Notes payable Bonds payable Shareholders' Equity $311,000 57,200 253,800 $338,200 Total liabilities and shareholders' equity Common stock Retained earnings. $17,700 25,600 55,100 $75,000 164,800 $338,200 Sales for 20XY were $314,000, with cost of goods sold being 70 percent of sales. Amortization expense was 10 percent of plant and equipment (net) at the beginning of the year. Interest expense for the bonds payable was 19 percent, while interest on the notes payable was 17 percent. These are based on December 31, 20XX, balances. Selling and administrative expenses were $31,100, and the tax rate averaged 18 percent. During 20XY, the cash balance and prepaid expense balance were unchanged. Accounts receivable and inventory each increased by 12 percent, and accounts payable increased by 27 percent. A new machine was purchased on December 31, 20XY, at a cost of $28,000. A cash dividend of $11,500 was paid to common shareholders at the end of 20XY. Also, notes payable increased by $6,904 and bonds payable decreased by 10,520. The common stock account did not change. a. Prepare an income statement for 20XY. (Input all answers as positive values.) a. Prepare an income statement for 20XY. (Input all answers as positive values.) ABC Corporation Income Statement For the Year Ending December 31, 20XY (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) es $ b. Prepare a balance sheet as of December 31, 20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) Current Assets: (Click to select) (Click to select) (Click to select) (Click to select) Total current assets Capital assets. (Click to select) (Click to select) Net plant and equipment Total assets ABC Corporation Balance Sheet For the Year Ended December 31, 20XY Liabilities: $ (Click to select) (Click to select) (Click to select) Ś $ Total liabilities. Shareholders' equity (Click to select) (Click to select) Total liabilities and shareholders' equity $ $ $ ABC Corporation had the following balance sheet on December 31, 20XX: Current Assets Cash Accounts receivable Inventory Prepaid expenses Capital Assets Plant and equipment (gross) Less: Accumulated amortization Net plant and equipment Total assets Balance Sheet $15,800 22,100 26,400 20,100 Liabilities Accounts payable Notes payable Bonds payable Shareholders' Equity $311,000 57,200 253,800 $338,200 Total liabilities and shareholders' equity Common stock Retained earnings. $17,700 25,600 55,100 $75,000 164,800 $338,200 Sales for 20XY were $314,000, with cost of goods sold being 70 percent of sales. Amortization expense was 10 percent of plant and equipment (net) at the beginning of the year. Interest expense for the bonds payable was 19 percent, while interest on the notes payable was 17 percent. These are based on December 31, 20XX, balances. Selling and administrative expenses were $31,100, and the tax rate averaged 18 percent. During 20XY, the cash balance and prepaid expense balance were unchanged. Accounts receivable and inventory each increased by 12 percent, and accounts payable increased by 27 percent. A new machine was purchased on December 31, 20XY, at a cost of $28,000. A cash dividend of $11,500 was paid to common shareholders at the end of 20XY. Also, notes payable increased by $6,904 and bonds payable decreased by 10,520. The common stock account did not change. a. Prepare an income statement for 20XY. (Input all answers as positive values.) a. Prepare an income statement for 20XY. (Input all answers as positive values.) ABC Corporation Income Statement For the Year Ending December 31, 20XY (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) es $ b. Prepare a balance sheet as of December 31, 20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) Current Assets: (Click to select) (Click to select) (Click to select) (Click to select) Total current assets Capital assets. (Click to select) (Click to select) Net plant and equipment Total assets ABC Corporation Balance Sheet For the Year Ended December 31, 20XY Liabilities: $ (Click to select) (Click to select) (Click to select) Ś $ Total liabilities. Shareholders' equity (Click to select) (Click to select) Total liabilities and shareholders' equity $ $ $

Answer rating: 100% (QA)

To prepare an income statement for 20XY well need to calculate several figures using the information provided The basic structure of an income stateme... View the full answer